The Visakhapatnam bench of Income Tax Appellate Tribunal (ITAT), confirms the deduction u/s 80IB of the Act,1961 when the assessee failed in the submission of Form-10CCB.
The respondent-assessee, M/s. Kalyan Aqua & Marine Circle-3(1)engaged in the manufacturing of a food processing unit filed its return of income declaring a total income of Rs. 28,42,090/- after claiming deduction u/s. 80-IB of the Act for Rs. 2,35,97,287/-.
The AO noticed that the assessee has not filed Form-10CCB as prescribed under Rule 18BBB of the IT Rules, 1962, and disallowed the deduction claimed U/s. 80IB of the Act and added 2,35,97,287/- to the total income of the assessee. The CIT(A) deleted the disallowance made by the AO.
The Revenue contended that the assessee has not filed the prescribed Form 10CCB while filing the return of income.
The revenue stated that the assessee has prepared the Form-10CCB only on 19/3/2018 and uploaded it on the same date and consequently disallowance was made by the AO by the law.
Shri Duvvuru R L Reddy, judicial member & Shri S Balakrishnan, accountant member observed that the AR could not produce the Form-10CCB claimed to have been prepared by the assessee on the date of filing of return of income U/s. 139(1) of the Act. The CIT(A) simply relied on the plea of the assessee that the assessee has obtained Form 10CCB along with the other statutory reports but has not called for its verification.
The Tribunal while allowing the appeal filed by revenue, upheld the order of the AO and quashed the order of the CIT(A). The assessee was represented by Smt. Radha Keerthi and the revenue was represented by Sri O N Hari Prasadarao.
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